Business Models as a Tool for Improving the Strategic Positions of Enterprises in a Competitive Market
Prokhorova V. V.

Prokhorova, Viktoriia V. (2020) “Business Models as a Tool for Improving the Strategic Positions of Enterprises in a Competitive Market.” The Problems of Economy 2:274–280.
https://doi.org/10.32983/2222-0712-2020-2-274-280

Section: Economics and Enterprise Management

UDC 658.014.1

Abstract:
The aim of the article is the formation of a business model as a tool for improving the strategic positions of enterprises in competitive markets under modern turbulent conditions. Based on the results of the study, it is determined that at present, when new technologies are constantly appearing, consumer preferences are changing, new social trends are forming, the key factor ensuring success in competition is the correct choice of the business model of an enterprise. Successful innovative products are no longer a guarantee of success in the market. Thus, only comprehensive innovation activity that goes to the level of permanent monitoring of the adequacy of a business model to changing conditions, and designing it into an improved version is a determining factor for success in the competitive struggle. Fundamental changes — evolutionary and radical transformations — have shaped the economy and business environment in recent decades. Technologies, especially information and communication ones, have radically changed the requirements for building a successful business and managing it. Accordingly, revolutionary technologies require developing new business models as a tool for improving the strategic positions of enterprises in competitive markets. In today’s hyper-competitive environment, there is no ideal business model that can create sustainable competitive advantages. In the future, when changes will occur even faster, only the enterprises that will be able to use their full potential will succeed. The winners will be adaptive enterprises that can quickly respond to new challenges. The article presents a detailed description of the process of forming the essence of the concept “business model” and defines its structure; analyzes the characteristics of schools of thought that study business models; highlights the principles and objectives of the business model as an instrument for improving the strategic positions of enterprises in competitive markets.

Keywords: business models, enterprise strategy, competitive markets, enterprise development, business.

Fig.: 3. Bibl.: 12.

Prokhorova Viktoriia V. – Doctor of Sciences (Economics), Professor, Head of the Department, Department of Economics and Management, Ukrainian Engineering and Pedagogical Academy (16 Unіversytetska Str., Kharkіv, 61003, Ukraine)
Email: vkprohkorova@gmail.com

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